Deals
Paulson Says Callon Should Target Sale Over Carrizo Purchase
- Hedge fund owns 9.5% stake in shale oil producer Callon
- Callon is overpaying in purchase of Carrizo, Paulson says
This article is for subscribers only.
Paulson & Co. has come out against Callon Petroleum Co.’s $1.2 billion deal to buy Carrizo Oil & Gas Inc., arguing the Permian Basin energy explorer should walk away from the deal and put itself up for sale.
The New York hedge fund, founded by billionaire John Paulson, said in a letter to Callon’s board Monday it owns a 9.5% stake in the company and plans to vote against the deal. Paulson noted that Callon’s shares had fallen about 36% since the transaction was announced in July, destroying about $530 million for shareholders.